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44AD Income Tax Filing Question

Others 210 views 3 replies

Hi To all the learned members.

Do we need to register a company (sole proprietorship) in order to take the advantage of 44AD ?

...........................

Also, from my payment, TDS is being deducted by the person under 194J, in that case can I file 44AD or 44ADA ?

PS - I want to file for 44AD, let me know if I am eligible for the same.

Replies (3)
You have only serving professional services than you have filed under 44ADA not 44AD Gross Receipt up to 50lack
44AD explicitly exclude Commission,brokerage ,& Profession prescribed u/s.44AA(1) ,But you can opt for 44ADA. For Presumptive taxation ,Gross Receipts up-to INR 50 lacs and 50% of it shall be Income...without allowing any deduction ,Also note benefit of 44AD allowed only to Individual /HUF and Registered Partnership ( Not LLP & Company ), by the way, No Tax Audit is required if Turnover is up-to 100 Lacs, (500 Lacs If You restrict Cash Transaction up-to 5% only).
If your profession is prescribed one as per 44ADA, then You can file under 44ADA. Other professions eligible under 44AD.


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